FTC complaint targets DeVry’s job placement claims

One way to climb the career ladder is by hitting the books to get your degree. But some companies take the hype too far. That’s why the FTC has filed a complaint in federal court today against DeVry University, one of the nation's largest educational services companies, for misrepresenting the prospects of their graduates to get well-paid jobs in their fields.

According to the FTC, DeVry stretched the truth by claiming that 90% of their graduates who were actively seeking employment landed new jobs in their field of study within six months of graduation. That sounds pretty impressive but beware of some fuzzy math: the FTC alleges that DeVry’s data does not back up its claim. First, to get to 90%, the company counted graduates who had been working at their jobs for more than a year before graduating from – or even before enrolling at – DeVry. Second, it also counted graduates who, in fact, were not working in their field of study – for instance, a graduate who specialized in health services management working as a server at a restaurant. Third, it undercounted those “actively seeking employment” by considering only those graduates who were regularly using DeVry’s career services department.

DeVry also claimed that one year after graduation, the median or average earnings of DeVry graduates with bachelor degrees were 15% higher than the earnings of graduates from all other colleges and universities, as a result of attending DeVry. Despite publicly available information and internal company data to the contrary, DeVry used unreliable figures that DeVry itself had reason to doubt.

If you’re looking to head back to school, do your homework to be sure you know what you’re paying for. Check out Choosing a College: Questions to Ask.

This post was updated on January 28, 2016 to note that DeVry is one of the largest educational services companies in the nation.

 

Tagged with: college, job training, jobs
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Jobs & Making Money

Comments

And this from the same basic organization that modifies all the unemployment numbers to suit its own narrative? Pot and kettle it seems.

this is interesting since my 2 sons went to ITT TECH and got no jobs in the field either. But guess what I have PLUS loans to pay for what?

Where is deVry's accrediting agency? They are obligated to monitor these outcomes and verify them. Accreditation is on the line

6 months after graduation I was NOT working in the field in which I pursued my master degrees (PM/MISM). In addition it has yet to add value to my employment opportunities in term of higher salaries. I choose Devry because of their affiliation with PMI as their class were inline with the PMBOK. I'm still seeking a PM position as well as a PM position with a competitive salary. My salary for the PM related job I hold at this time, doesn't even afford me to pay my student loans without some stress. Thousands of dollars was spent and yet my income has me struggling to pay my monthly payment and maintain my household.
There tuition is higher then other universities but I thought that I would have the earning power to cover the related expense. With 2 master degrees I would have thought I would have been in higher demand. At this point I'm feeling like they should refund half my money because at that is all this education is worth. Economically Frustrated and Competitively challenged.

I would like to be a part of this Devry exploits military and I have had no luck finding a job because of my MBA through them. Please contact me

We won't post personal information, including email addresses.

If you think a school hasn't lived up to its promises, you can contact the Department of Education by sending an email to  compliancecomplaints@ed.gov and report it to the FTC at ftc.gov/complaint. The details you give to the FTC will go into a database that law enforcement uses for investigations.

Will current students be able to drop and receive loan forgiveness or refunds?

The FTC just recently filed the lawsuit against the operators of DeVry University. The FTC asked the judget to require DeVry to pay money that could be returned to injured consumers.  The case is being litigated, and the judge will decide the final outcome.

The Department of Education is working on a process that would let some federal loan borrowers ask for loan forgiveness. Go to this Department of Education page and read “Background About Borrower Defense to Repayment.”

I graduated from DeVry and regret going there. I had a job before graduating and they harassed me to get the information regarding my employment once I graduated. They wanted to know my wage, etc and were not happy when I told them that I would not give it to them because they and my degree had nothing to do with my employment. Unfortunately they were finally able to get my info because I work in government and they just did a public records request. I know that they used me in the stats regarding their claims when they had nothing to do with it.

As a current student of DeVry, what does this mean for us? Is this not a sound investment given the claims? Should we choose another school? Is our degree useless now?

The complaint the FTC filed against DeVry University in federal court alleges that DeVry misrepresented its graduates' prospects of getting well-paid jobs in their fields.

This FTC article has tips and questions to ask if you're choosing a college.

Confused Student is looking for advice on whether to stay at DeVry.

If I had to do it all over I would have enrolled in a state university. These are not attempting to flood or saturate every market with fresh graduates who can't find work. And the cost is a fraction of what DeVry charges.

Having a degree from DeVry has actually hurt me in the job market. I remember working so hard witnessing some students with subpar work about to get the same degree.. I even questioned the staff... I've been passed over for a promotion... well so and so has a degree from XYZ, so basically they're saying my DeVry degree was worthless... I regret going there and would tell anyone thinking of going there to think again...

Your degree is certainly not useless. But the process employment, in light of globalism and ease of outsourcing, has undergone some unpleasant changes as far as students are concerned. Age discrimination is rampant, insufficient experience is a hinderance, and pay negotiating n is pretty much out of style. The economy turned it into an employer-market, and employers have plenty of candidates to choose from, including H1B visa holders and overseas outsourcing options.

I went to Keller Graduate school and received a masters degree in MISM, still to this day, I dont have a job in Information Tecnology because of Devry/Keller. This school is a joke and now Im on the hook for 70,000 in tuition / student loan fees..

Mon son went to DeVry and was told he had the math background for it but clearly needed help . they kept putting us off until it was too late to withdraw costing us about $10000.

I graduated in 2003 with 7 more friends on the same computer field. It is 2016 and all of us never got a job in the fiel we graduated. And after graduation I kept going for one year almost to beg to the "job placement office" they used to have on campus and they always have an excuse or no new job postings. I have a debt of 68,000 and the job I have now ( not on my field) bererlly covers my living expenses. There tuition was higher than other universities and they been misleading students with there "job placement secure". It is the biggest legal scam ever!

I would like to be apart of this DeVry situation as to I still have the paperwork back in 2008 when I enrolled to 2012 stating they promised me 93% of employment placement and I would make 43k a year after I graduated.

I graduated from DeVry University where first earned B,Sc. In Technical Mangement, followed by tan MBA with Telecommunication Management, and finally An MPM. My student loans with accumulated interest are around $150K. I was never able to get a job with any of the three degrees. Now I am doing security work ffor 7 years earning $32k and expected to pay $1500 a month for 30+ years.

OMG!!! are you serious. I feel like I'm kinda in the same situation. I lost my job with one of the biggest banks and so I decided to go back to school. I'm pursuing my MBA in "Management Information System" but I'm going a security guard work minimum wage because, I haven't been able to find a job even with my bachelor degrees. Now I'm not so sure I'll even find a job with my Master's degree. what I'm I suppose to do

I graduated from there in 2009 for bachelor and 2011 for master. after sending out tons of resume and got 2 interview for an entry level job, but i didn't not get it, i gave up on looking for job in that field. Currently I am working for the same job less $13 that helped me paying bills through school years, plus two other part-time jobs to pay off school loans. it is seem that my effort and investment in college is wasted!I recently seen DeVry ad on local channel and wondering. Wow, I felt for the ad and many prospect student would too. Oh well, I guess Dumb being me then!

The funny and part is that I applied for a job at the DeVry School according to my college degrees and got turn down through an email. that was the lowest point I have second thought about the degrees those i received!

I got my Associates and Master's from DeVry Online. I had no issues in getting a job ion my field of expertise. Maybe people should consider the area they live in because where I live depending on what kind of job you are looking for you will either not get it or will get the job. I graduated in 2016 with my Masters.

Am a DeVry graduate. Had 2 offers before graduation, both which required moving to the LA area, which I did. Now making 6 figures.

I graduated from DeVry with a BS in Network & Communications, an MBA & an MPM while employed full time. I have been looking for a job since 2009 but I CAN'T FIND ONE. Most fortune500 companies do no even consider hiring Devry grads contrary to Devry's misleading ads. Not only I have wasted my time, I AM STUCK WITH a $150K student loan that I CAN NOT afford paying back & I have no JOB PROSPECTS. DeVry took advantage of all of us. I feel betrayed. The FTC has to seriously investigate the school & stop them from deceiving the public. Also, I think the "Federal Loan Services" should work with us & come up with other ways (such communitiy services, etc...) to payback our loans.

The FTC asked the court to require DeVry to pay money that could be returned to injured consumers.  The case is in currently in litigation, and the court will decide the outcome.   

The Department of Education is working on a process that would let some federal loan borrowers ask for loan forgiveness. Go to this Department of Education page and read “Background About Borrower Defense to Repayment.”

Hello All, I hope this lawsuit will get some relief for me and the many other students that have been sold a dream and promised so much to only end up starting at the bottom and having to beg for a job that ONLY requires a HIGH SCHOOL Diploma. I am a 2005 grad and in 2003 a man of false hopes arrived to my home and gave me information that seem to be a route to success. He came from Texas and I lived in Louisiana. I arrived to Irving TX to be completely overwhelmed and they then said I didn't qualify for fasfa and I had to get all loans and Parent loans. At the time of graduation I had to faced not only the fact that I owe over 100k in loans I could not get a job. I stayed unemployed for a much longer than 6 months. Then payments where due and collectors started calling which almost cause my mother and stepfather to get a divorce. They threaten to garnish his wages. my grandmother had to get a loan to stop that from happening an this is the talk of our family. I had had many interviews only to be asked: What is Your degree? What kind of classes did you take? Well it seems like you know a little about this and that. Well we will get back to you. I have been working off and on trying and trying to land that job that is in my career field but now I am 30 and i am so afraid to switch jobs again. I now owe 65K to the feds. I also owe 90k to private loans that are mostly late, forbearance, a defaulted charges. PLEASE HELP USE !!!!!!

The FTC asked the court to require DeVry to pay money that could be returned to injured consumers.  The case is in currently in litigation, and the court will decide the outcome.   

The Department of Education is working on a process that would let some federal loan borrowers ask for loan forgiveness. Go to this Department of Education page and read “Background About Borrower Defense to Repayment.”

2 years after graduating with MAFM from Devry, I am still not employed in my field and I earn less than $40K. I am stuck with a $97K loan that I will never ever be able to pay off in this lifetime.

Devry/Keller should refund all the loans for those not employed in field and who has graduated more than 1 year.

Have you guys at the FTC looked into the complaints of students who's financial information have been ruined by this school? I heard stories of this school messing with people's finances to the point where they literary have no money to continue... I have several friend who also went to this school and no longer go because of financial problems... If you guys can please look into this whole financial deal as well because I have a feeling that I too am not going to have enough to finish.... I am currently in shambles and have no idea on what to do....

I was misled by their commercial ads back in 2000 for a higher paying job in the IT field. I took a 2 year accelerated program in Information Technology. I felt pressured to decide on several choices of programs at the time of enrollment, not knowing at the time what was best for me. After graduation, I secured a contract position as a lab director for another school (MicroTrain), which I couldn't afford to keep since it paid minimum wages quarterly (you had to work 16 hours daily with no overtime pay). I heard that other employees didn't get paid for six months and I quit after hearing this. I ended up going back to my regular teaching position at another private elementary school.

Why would anyone give $50,000+ for a school loan to a recently out of high school student barely 18 years old but Target will deny that same person because they don't have enough credit history to get a small line of less than $300 and expect for that same person to pay it back?

How can they if they never held a good high paying job and we do they start in the real world they are denied jobs because they don't have real life experience and DeVry and other have promised HIGH paying jobs with BIG companies!? If DeVry has so much faith in their students why don't they hire majority of all their students?

DeVry prays on the working class and promises everything but once you graduate (that's if you don't run out of funds) they can't get you a high paying job and when you ask help from their career center they refer you to an outside temp agency because they don't have jobs for you. DeVry and for profit schools need to go away and go back to the basics and invest more into public colleges and universities. Not everything can be outsourced to the private sector.

I was so mislead from the recruiter, Promising making 45k+ for the booklet he gave me, and telling me that Devry cost a little bit more because its a tri semester. Saying in 3 years after graduation id have all my loans paid off. The Schools ads of "very successful" jobs after graduation. I bought into it and now I don't know what im going to do. 75k debt over a worthless degree. There career services is a joke as long with the college. How does a school get a way with this. Devry has stocks? What?

Do you people really think it's just profit schools?? The whole higher education system is a joke. Most of you don't know but all higher education profit or not is happy with 50% graduation rates. I know many people who thought a masters degree will equate to huge $$$. WAKE UP ..a piece of paper doesn't automatically qualify you to make 6 figure salaries. Go get yourself marketable skills, current skills in us job market is 3 months or less. Not hey I graduated in 2009-2012 so I am qualified. Havingredients a good job and keeping it requires constant learning on your own part. I learn something new almost every day, I don't play it safe and I am always trying to better myself. This victim mentality is what's going wrong with america...poor me...boo hoo hoo

I went to DeVry in Austin with a Bachelor's in Technical Management and I only have what I had before I went to school. I thought that I would be placed but the did not give me a specialty because they took transfer credits on courses that should not have.

so as I did career research for class I came across this and I am shocked beyond all reason so what shall I do now I almost am close to graduating and had no clue this school isnt what the expected outcome presumes to be for my future and the expense not too mention for profitable school they sure dont assist with the millions they have gained to help students pay off some loans oh no lets get students in debt and then watch them drown in debts as they dont succeed into employment

My Future depends on this case. Half way through I found out how this was scammy and a worthless College. Now Im hoping that my life isn't 20+ years of repaying something that screwed me over. Dang me for not reading reviews and listening to the lying piece of s# aka the Recruiter.

If you think a school hasn't lived up to its promises, you can contact the Department of Education by sending an email to  compliancecomplaints@ed.gov and report it to the FTC at ftc.gov/complaint. The details you give to the FTC will go into a database that law enforcement uses for investigations.

In certain situations, you can have your federal student loan forgiven, canceled, or discharged. Find information on the Department of Education website.

Bridget, Is there any kind of an update on the case against Devry? Also, I paid close to 15K out of my own pocket, along with the student loans, am I going to be able to recoup the actual cash?

The FTC filed its case against DeVry University in January, 2016. The DeVry case page on ftc.gov shows a timeline of the case and links to related documents. The most recent documents are from January, 2016.

If you think a school hasn't lived up to its promises, you can contact the Department of Education by sending an email to  compliancecomplaints@ed.gov.

The Department of Education has a process that allows some federal loan borrowers ask for loan forgiveness.  This Department of Education page covers “Borrower Defense to Repayment.”

GI Bill paid mine and I graduated in 2013...still no job in Network Administration.

I got scammed by DeVry Seattle campus I received BSC in biomedical engineering in 2011 since then I never get job as biomedical engineer even I never get one job interview and I stack with $79000 loan and they screwed me up I feel like no life in front of me and my hole life is in danger with loan and I ma working as data entry.Devry have to be shutdown like ITT Tech

Insane amount of money owed in student loans. Sleepless nights over repayment concerns. People literally make fun of my Devry degrees! Underpaying job that does not even allow me paying part of the interest that accrues DAILY! No perspectives, only regrets. Hopefully this huge distortion is correct and the honest students who believed Devry as a genuine path for a better life can finally get these suffocating loans canceled! Someone has to do something. A miserable class of ruined people with worthless degrees under their arms is forming. Students need REAL HELP!

If you have federal loans, go to the Department of Education’s StudentAid.gov to find out more about applying for forgiveness and cancellation, and other programs like income-driven repayment plans.

Students who attended a school who believe they were defrauded, or that their school otherwise violated applicable state law may be eligible for discharge (loan forgiveness). Get information about that kind of loan forgiveness, called "borrower defense to repayment," here.

Applying for any of these programs is free.

If you have private loans, contact your loan servicer directly to see what options you might have.

In 2010 I interviewed with a Keller Grad School of Management Recruiter and advised them I had no prior experience in Information Systems Management. My Bachelors degree is in Studio Art/Secondary Education in 2009. I wanted a career change and to increase my earning power. Despite this, I was cheerfully admitted and told I would definitely be able to gain a position upon completion of my program. I was pursued so intently I did a search and found out the Recruiter was working on a commission basis. That meant he was earning compensation for enrolling students. The career services would not offer services to me until I finished my program. I spent 3 years studying online while a stay at home Mom, thinking that I would be able to re-enter the workforce with very viable skill-sets to support myself and my daughter. I graduated in 2014. DeVry career services assisted with my resume preparation, a process that took two months to complete. I was told mid-way that the resume writer usually charges $200.00 per hour, so her time was valuable, hence keep waiting on her to modify the resume. I have had a difficult time trying to define my skill-sets despite earning the degree with a 3.23 GPA. None of the job postings I have searched offered positions with the exact title. DeVry representatives even became ambiguous toward the end of my coursework about what jobs would be available for me once I graduated. The job market has many definitions for what exactly a Master in Information Systems Management position entails. Some of the positions require knowledge writing code, and other training and certifications which we did not learn. This is due to the fact that Information Systems Management is such a vast topic. We even were required to take a course called Management of Information Systems I owe about $140,000.00 in student loans, that are accruing interest daily. I trusted Keller to provide a quality education and also credible degree that I could proudly use to re-enter the workforce as proudly as I completed my courses. I worked very hard to complete my degree many times staying up late hours of the night and denying myself time with my family and personal life for the opportunity to get a great paying job. I received several emails from DeVry both during and after the resume process that seemed to be inclined to try to entice me into taking more courses since I did not have a position in my field of study. They even sent emails like I had financial aid awards pending even though I was not enrolled a year ago or so. I stopped responding to their emails because of how the career services handled my resume writing session. I strongly feel DeVry should have been assisting students during the training course work on how to enter these new fields of expertise so that the transition would be smooth like internships offered to future doctors. Specifically because they knew upfront that some student did not have prior experience in the field of IT and the tuition costs were so absorbent. I am very disappointed to read so many, many posts of very similar experiences using Federal funds to exploit students unfamiliar with the IT field. I received Federal Direct Student loans to pay for my tuition and expenses but cannot qualify for a small business loan to start a home business. It unfortunately sounds like predatory practices are being used.

I attended one year at Devry pursuing a Bachelors Degree in Business Administration. What I received from Devry is none of the support promised and more student loan debt than my daughter who attended a State University and obtained two Bachelors degrees.Definitely would have make a different choice today. Big rip off strong aggressive sales pitch with little to return for the price tag.

I went to DeVry and I have been unable to get a job in what I went to school for. How do I get a forgiveness or discharge on my student loan?

The Department of Education is working on a process that would let some federal loan borrowers ask for loan forgiveness.  Read about “Background About Borrower Defense to Repayment” on the US Department of Education website.

When I call the dept of education they said they can NOT DO anything until FTC or gov't pursue DEVRY and shut them down! They will not do borrower's defense unless they are on the LIST!

How is that possible? The Department of Education found out that Devry had no way of backing up their statement. How are they not on the list? Was it because of the setlement? if that is so then that is incredibly stupid..... If the department of education placed a lawsuit against them for the same reason and came to the conclusion that they had no way of backing up their claim how are they still not on the list? I am so angry about this....

Just another false claim; FTC has truly done nothing to assist the victims of the many false statements DeVry made.

The FTC sued DeVry in January, 2016. The case is still going on. You can get information about the case on the case page on FTC.gov.

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